Al Cleinman's Blog

You're Kidding, Right?

A reader, who happens to visit many optometrist's offices, sent me a copy of VSP's Promotional Literature for their individual plan.  This is the plan where VSP goes directly to consumers and convinces them that they can buy eye care and eyewear at a discount.  The premiums for this plan are, of course, paid directly to VSP.  Then, VSP shares these premiums with the provider in the form of paltry reimbursements.  VSP, of course, says that they're driving new patients to their providers and everyone wins.  The consumer gets a discount.  The provider gets a new patient.  And VSP gets a boatload of money.

Sounds like a logical plan.

But here's the amazing part.  This brochure was picked up in a provider's office.  Yep, right there in the waiting room.  This astute provider was telling his patients "Hey, you don't have to pay me what I usually charge, just join up with VSP and you can get a discount." 

There are two seriously big concerns with this.  First, VSP is no longer moving patients exclusively to private practice optometry...nope.  Today, they own their own retail operation within the Cisco Campus (not likely the one and only); they're sending your patients to COSTCO; and soon, logic says, they'll be sending more to COSTCO and others as VSP and the likes of COSTCO plot to develop a special plan designed exclusively for COSTCO members.

The other problem with this is that this particular provider has already secured the patient.  If they simply WOWed the patient, they wouldn't have to worry about the patient going elsewhere for service.  Why would you sell against yourself?

According to our research, the difference between gross charges and collected dollars has eroded by eleven percentage points over just the past five years.  That means that you have eleven percent fewer dollars to pay your staff; your overhead; yourself.  And it's not like you can make it up on volume; since VSP now demands additional discounts for second pair sales.

THROW OUT THOSE BROCHURES!  Fill the landfills.  It's time to cry "we're sick and tired and aren't going to take it anymore!"

Download VSP Vision Care Coverage - Individual Plan

Some Questions for VSP Regarding their Cisco Vision Center

The banter about VSP's opening of a vision center on the Cisco campus in San Jose has been significant.  Announced on this blog on May 11th, the topic is hot enough for VSP to feel compelled to respond with various PR efforts, including releases to the press and a national "town hall" tour.  These efforts are likely the work of an expensive PR firm retained by VSP for just such events.

In one recently released communication, VSP works hard to rationalize their action as a competitive response.  "If not us, then it would have been someone else," they say.  OK, I get that.  Competitive actions require competitive response.  I'm a firm believer in the law of the marketplace.  But had VSP done just two things...only two...they could have turned this sow's ear into a silk purse.  And the fact that VSP doesn't do these things generates other questions, for sure.  So I have two questions for VSP:

a) If this is so good for your providers, why not announce the action back last fall when you took it instead of hiding it and then reacting once it was discovered?  Why not transparency?

b) If this is so good for the providers, why not take the profits from the activity and return them to the VSP providers within a 20 mile radius of the Cisco Campus.  After all, this can't be a highly profitable activity, with only 1000 on-site claims.  Why not give the money back to your providers, VSP? 

My own opinion  of VSP's strategy is well documented in this blog.  Let's see if VSP has the cojones to respond.

First Impressions Count!

The other day, I found myself in Marlborough, Massachusetts for one of our Business of Eyecare Forum events.  This program, a one-day practice leadership "university," is loaded with lessons on how to deliver a lasting and memorable patient/customer experience.  The event was held at the Best Western Plaza Hotel and Trade Center, apparently about the only facility available in the area and large enough for our event.

This facility is on a large property, so the driveway is quite long.  As I turned off the highway into the driveway, I'm met with a large BANG!  My first impression of the hotel is a pothole.  From the sound, I was convinced that it was the size of a Volkswagen and that I'm now in need of a front-end alignment.  As I proceed up this quarter-mile long drive, I begin having to reach back to my country-road driving experiences; dodging pothole after pothole.  The driveway is a virtual obstacle course.  Needless to say, having just bought a new car, I wasn't very pleased with the fact that my expensive high-performance tires were taking a beating.  Worse, though, was my concern for the 200 participants of the Forum.

This first impression set the stage for my entire hotel experience at the Best Western Plaza Hotel and Trade Center in Marlborough, Massachusetts.  If management/ownership is so blase about their driveway, the very first thing that a visitor encounters, what else were they missing.  Well, I certainly began noticing all that was wrong with the physical plant (yes, it's old and tired).  And, in spite of the good service by attentive staff, my overall impression of this facility and it's management was very, very poor. 

My negative perspective of the hotel was exacerbated when I placed a call through the front desk and tried to meet with the General Manager, Mr. Rick Skinner, to share my concerns over the driveway.  In spite of the fact that we were the only significant customer at the hotel that day; and in spite of the fact that we were spending tens of thousands of dollars at his hotel, Mr. Skinner chose to respond to my query with what amounted to "I'm busy...have him speak to someone else."  Now, Mr. Skinner had the entire afternoon to respond to my query and chose to do otherwise.  Like the potholes, his attitude didn't sit very well with me.  Perhaps he was busy filling potholes or making arrangements for their repair, but I don't think he was demonstrating very good leadership...to his team or his customers. 

Yes, I had the choice of speaking to another hotel employee about my concerns.  I also had the choice of not doing anything.  After all, I'm sure that Mr. Skinner and his owners are aware of the potholes and the overall condition of their hotel.  But, instead, during my morning workshop on Secrets of High Performers (and likely during the 20 or so similar events that we'll have over the coming year), I used the hotel's condition and Mr. Skinner's approach as an example of how important it is to maintain a quality environment...to see your facility through your customers eyes...and to be open to listening to your customers. 

And, of course, I'm now using this experience as a lesson on brand-destruction for my loyal readers. 

In the old days, a negative experience was thought to have been told to about 15 people.  In this particular case, I'm sharing it with over 30,000 readers.  Blogs, Facebook, Yelp, etc. have totally changed the power of your customers ability to impact your brand; both positively and negatively. 

First impressions count.  Listening to your customers counts.

What Words Should You Use?

In English, as with many other languages, the same word can mean many different things.  As just one example, the word "set" has over 450 meanings in the Oxford dictionary.  Words like run (396), go (368) and take (343) also have many, many meanings. 

Likewise, subtle changes in our languaging of marketing messages can have a dramatic impact on results.  I remember reading a study which reported that when stores changed their greeting from "may I help you" to "have you been in before" sales jumped by 15%. 

In marketing, thinking like your reader and communicating in terms they understand is key to generating the responses you desire.  For instance, many of your websites list "conjunctivitis" as something that you treat.  While the use of the word is technically correct, reality is that consumers understand "pink eye" far more than "conjunctivitis."  Further, when you communicate in emotional terms, results will soar.   We buy on emotion.  We rationalize our purchase with fact. 

This short video has a variety of profound messages, including the power of the careful use of words in your marketing messaging.  Enjoy!

Change Your Message

VSP Goes Retail - Kiss Eyewear Goodbye?

 

It appears that VSP, through it's EyeFinity division, is now the owner of an optical dispensary inside of the Cisco Campus in San Jose, CA (competing directly with private practice optometrists).  As I've written in the past, the day when VSP "goes direct" with the sale of eyewear is here.  The document below describes a logical model for VSP to attempt to promulgate...the O.D. gets the exam (at ludicrous reimbursement rates) and VSP gets the eyewear. 

You'll find this interesting reading...and a crystal ball into your future.

 ____________________________________________________________________

Vision Care—General

46. What vision care services are available at LifeConnections Health Center?

The vision care services include both optometry services and eyewear, including glasses, sunglasses and contact lenses.

Optometry services are provided onsite by an optometrist under contract with the North First Street Medical Group at the LifeConnections Health Center.

The LifeConnections Vision Center, an optical dispensary owned and operated by Eyefinity, Inc. (Eyefinity), offers you quality, stylish eyewear at discounted prices.

 

47. Where is the optometrist located?

The optometrist is located at the LifeConnections Health Center at:

Building Q, Second floor 3571 North First Street, Suite 200 San Jose, CA 95134 (Near the corner of First and Tasman)

 

48. Where is the Vision Center located?

The LifeConnections Vision Center is located within the LifeConnections Health Center at:

Building Q, Second floor 3571 North First Street, Suite 202 San Jose, CA 95134 (Near the corner of First and Tasman)

408 424-2229

 

49. Who is VSP^{® Vision Care?}

VSP® Vision Care has focused on eye health and its impact on the overall wellness of some 55 million members for more than 50 years. Cisco employees and their families have had access to VSP benefits for many years. As the largest not-for-profit vision care provider in the industry, VSP works with optometrists, including the one at the LifeConnections Health Center, to offer discounts on eyewear and eye exams to its plan members in rural and metropolitan areas throughout the United States — this includes Cisco employees and their dependents.

 

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50. Who is Eyefinity?

Eyefinity owns and operates the LifeConnections Vision Center. Eyefinity is the leading business management partner in the eyecare industry, specializing in web-based solutions that allow eyecare professionals to order products and materials.

LifeConnections Health Center Optometrist

 

51. What are the qualifications of the LifeConnections Health Center optometrist?

Vision care is provided onsite by a licensed optometrist under contract with the North First Street Medical Group at the LifeConnections Health Center. The optometrist is highly skilled, experienced, and licensed. She will take the time to get to know you and the health of your eyes.

 

52. Are all Cisco employees eligible to be seen by the health center optometrist?

All Cisco employees and their dependents eligible for benefits can use the health center optometrist. Cisco employees and their families covered under VSP will receive in-network benefits when they see an optometrist at the health center. If you’re not covered under VSP, you can be seen at the health center and pay directly for services.

 

53. What services does the optometrist offer?

The optometrist focuses on your eye health and visual acuity. You’ll receive an exam that is more than just a quick eye check—the exam focuses on your eyes and overall wellness. Our optometrist will look for vision problems within the scope of licensure and look for signs of serious health conditions, like glaucoma, diabetic eye disease, high blood pressure, and high cholesterol, too.

 

54. Is there an advantage to seeing the optometrist at LifeConnections Health Center?

Yes, there are many advantages. The health center optometrist is a proactive, collaborative member of the LifeConnections Health Center medical team. This integrated approach makes it easy for the physicians to refer to the optometrist for vision care and for the optometrist to refer patients directly to a primary care physician if a health care problem such as diabetes, high blood pressure, or high cholesterol is detected during a routine eye examination. Of course, another advantage is the time you save time by visiting an optometrist located on the San Jose campus.

 

55. Are same-day appointments available with the optometrist?

Yes, depending on availability. Call the LifeConnections Health Center at 408 424-2000 to find out.

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56. How much does it cost to visit the optometrist?

Employees and their dependents that are covered under the VSP plan will have their optometry claims processed by VSP. For eye exams, you are generally responsible for a $25.00 copay. Employees not covered under the VSP plan are responsible for the full payment, and can be reimbursed through their individual Health Care Flexible Spending Account or submit a claim with their vision care plan.

 

57. As a Kaiser member, can I see the optometrist?

Yes, you are welcome to see the optometrist at the LifeConnections Health Center, but you must pay the full cost for services, unless you are covered under VSP.

 

58. How often should I get an eye exam?

You and your doctor should determine the eye exam schedule that best meets your eyecare needs. However, as a rule, the recommended care is to have an eye exam every one to two years. Those with a family history of eye diseases, diabetic patients, and anyone whose general health is poor or who are taking medications that may have potential side effects on the eye may need to have their eyes examined more frequently.

 

59. Why should I have my eyes examined regularly?

Thorough eye exams are essential not just for detecting vision problems, but also as an important preventive measure for maintaining overall health and wellness. And your VSP coverage is designed to protect and enhance your eyesight. In fact, a thorough eye exam can detect a number of serious medical conditions, such as glaucoma, cataracts, and diabetes--even cancer. Caring for your eyes should always be a part of your regular healthcare routine.

 

60. When should my child have his or her first eye exam?

The American Optometric Association suggests that children should have their first regular eye exam at six months of age. Follow up exams should be done around age two to three.

 

61. How often should children’s eyes be examined after their initial eye exam?

As with adults, children's eyes should be examined every two years, or more often if there is an eye or vision problem, or a family history of eye disease. School children use their eyes more often than adults to read and perform other activities, so it's critical for them to have regular eye exams.

Also, it's important to remember that an eye screening typically offered at school only tests for distance. Screenings will not detect some vision problems. Your child can have problems with near vision, eye coordination, or focusing and still have 20/20

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distance vision. If left untreated, these problems can cause learning disabilities, headaches, and other visual discomforts.

 

62. Do I need a special eye exam as I get close to, or past, age 40?

You don't need a special eye exam over age 40, but it's critical that you have your regular eye exam at least every two years. As we get older, we are more susceptible to certain eye diseases such as cataracts, glaucoma, and macular degeneration. A regular eye exam enables your eye doctor to detect the first signs of disease and prescribe the appropriate treatments to prevent vision loss.

 

63. Are primary eyecare services provided onsite?

Your VSP Primary EyeCare benefit provides medical and urgent eyecare that goes beyond your regular VSP plan, including:

 

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64. Do you need a referral for primary eyecare?

You’ll never need a referral. And if the optometrist finds that you need to see a specialist, he/she will consult and coordinate with your primary care physician, or an ophthalmologist.

 

65. Can I get a prescription from the optometrist filled at the LifeConnections Pharmacy?

Like the other practitioners at LifeConnections Health Center, the optometrist has the ability to e-prescribe to the LifeConnections Pharmacy, to the extent allowed by state law.

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LifeConnections Vision Center

66. Are all Cisco employees eligible to get eyewear/services at the LifeConnections Vision Center?

All Cisco employees and their dependents eligible for benefits can use the Vision Center. Cisco employees and their families covered under VSP will receive in-network benefits. If you’re not covered under VSP, you will be fully responsible for the costs of all eyewear and services.

 

67. What are the qualifications of the LifeConnections Vision Center staff?

The LifeConnections Vision Center opticians are board-registered in fitting glasses and contacts. They’re trained in image consulting and can work with you to achieve the best vision as well as the right image and look to enhance your lifestyle.

 

68. Do I have to be seen by the health center optometrist to see an optician at the LifeConnections Vision Center?

No. You and your eligible dependents can purchase eyewear at the LifeConnections Vision Center without using the services of the health center optometrist. Simply bring your prescription to the LifeConnections Vision Center and the opticians will be happy to assist.

69. What services and products are offered at the LifeConnections Vision Center?

We offer visual solutions for all of life’s needs, including glasses and contact lenses, along with adjustments and repairs of existing eyewear.

We have an exceptional range of glasses, designed to fit every need. From practical to sporty, we carry popular brands such as Calvin Klein®, Sean John®, Nike®, Tommy Bahama®, Karl Lagerfeld®, Fendi®, Coach®, and many more.

We also offer the latest in high-def lens technology, which allows you to see things more clearly.

70. How much does it cost for eyewear and contact lenses?

 

For eyewear and contact lenses, the VSP plan offers Cisco employees and their dependents a generous allowance that may offset the entire cost of the eyewear purchased. Employees not covered under the VSP plan are required to pay for

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services directly, and then can submit a claim to be reimbursed through their individual Health Care Flexible Spending Account.

71. As a Kaiser member, can I get glasses or contact lenses at the LifeConnections Vision Center?

Yes, you are welcome to purchase glasses and contact lenses at the LifeConnections Vision Center, but you must pay the full cost for the products you purchase, unless you are covered under VSP.

72. What savings and discounts will I receive at the LifeConnections Vision Center?

If covered under the VSP plan, you’ll get lens and brand options every year, and frames every other year, with an allowance for contacts and the contact lens exam (fitting and evaluation).

You’ll also get extra discounts and savings on glasses, sunglasses, contacts, and laser vision correction. For more details on exact allowance and discounts, please visit ciscolifeconnections.com and click on the "Vision Care" tab.

73. What are the Vision Center office hours?

The LifeConnections Vision Center is open Monday through Friday from 9 a.m. to

6 p.m. and closed on Cisco holidays.

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Note: Although high-def lenses are not covered under the VSP benefit plan, you’ll receive an average of 35-40 percent savings on these lens options.

Exams to monitor cataracts

 

　

Tests to diagnose eye conditions, such as glaucoma and diabetic eye disease

Tests to diagnose sudden vision changes

Treatment for eye pain or conditions like pink eye

Milk for Twice the Price

During my lectures around the country, I often discuss the importance of branding and delivering value.  My audiences are often surprised when I describe that every consumer seeks luxury and that even to a homeless person, luxury is important...and might be defined as a clean pair of socks.  I talk about $40 a bottle water and $5000 hamburgers.

Those that think luxury is dead are grossly mistaken.  And those that think the new economy has eliminated the role of luxury are missing tremendous opportunity.  What's largely missing in our industry, is that we don't describe or offer our products using  luxury terms.  BOGO and discounting are easy; but these tactics only serve to destroy our universal industry brand.  To the average eyecare consumer, our industry is thought of as just above that of the proverbial used car marketplace.

Well, here's another example of how savvy marketers use luxury to define their product and...charge accordingly.  Enjoy the read.  And take action with what you learn.

Luxury Milk

No One Can Compete with Memories

Why does our industry continue to destroy it's overall brand through discounting?  Why do ECPs, who can't possibly compete on price, even make the attempt?  In the absence of anything else, yes, price prevails.  But it's so easy to deliver something besides price! 

One of the key messages that I deliver to my audiences as I travel around the country speaking is the importance of delivering memories.  I often say, "it's not just an eye exam, it's an eyecare experience."  Perhaps that's one reason why our clients realize growth at 4 times that national average?

Here's a video from Ken Blanchard and Barbara Glanz about an unusual individual and his simple tool for delivering memories...and bringing back customers for his employer...lots of customers.  Please note that you won't hear the word "price" mentioned in this video.

What can you do to deliver a memory...and great eyecare?  Enjoy...and share this message with your team. Then empower them to deliver.   Delivering Powerful Memories    

Success through Failure

Back in the mid 1980’s, I had the good fortune to visit 3M’s headquarters in St. Paul, Minnesota.  Sitting in the reception area, awaiting the start of my meeting, I noticed a large sign, containing the venerable firm’s Mission Statement.  While the totality of the statement is lost in my memory, I’ll never forget this part:

"25% of our annual business will result from products that were not in existance five years ago."

That message, to me, was an epiphany.  3M, after all, is a HUGE company.  How could such a mega-organization commit to such a lofty goal?  Sure, 3M is world renown for their product development.  Everyone’s heard the story about the glue that was designated useless…as it wouldn’t firmly attach to anything.  That glue became Post-It Notes and an entire brand of products.  Often, innovation is about never giving up…uncovering a break-through from something that didn’t work for its original use.  3M’s innovation list is a mile long (including our industry’s LEAP blocking system).  How do they do it? 

I decided to try and understand 3M’s innovation system.  With a little research, I didn’t find a system…but uncovered that innovation is the very foundation of the firm’s entire culture.  You see, a guy by the name of William McKnight joined Minnesota Mining and Manufacturing Co. in 1907 as an assistant bookkeeper. He quickly rose through the company, became president in 1929 and chairman of the board in 1949.  He retired in 1966 after 59 years with the firm.  Many believe McKnight's greatest contribution was as a business philosopher, since he created the corporate culture of which we’re speaking; one that encourages employee initiative and innovation.

His basic rule of management was laid out in 1948:

"As our business grows, it becomes increasingly necessary to delegate responsibility and to encourage men and women to exercise their initiative. This requires considerable tolerance. Those men and women, to whom we delegate authority and responsibility, if they are good people, are going to want to do their jobs in their own way.

"Mistakes will be made. But if a person is essentially right, the mistakes he or she makes are not as serious in the long run as the mistakes management will make if it undertakes to tell those in authority exactly how they must do their jobs.

 "Management that is destructively critical when mistakes are made kills initiative. And it's essential that we have many people with initiative if we are to continue to grow."

What I interpret Mr. McNight to have done was take a strategic approach to the development of his people and create the foundation for a culture of innovation; of continuous change.  He recognized that investing in people, and their mistakes, builds an innovative and confident enterprise.   

So, what happens in your practice when someone takes initiative?   By its very nature, initiative requires making mistakes.  Do you celebrate mistakes (i.e.; celebrate initiative) or do you and your team beat new ideas and improvement suggestions back in a variety of overt and covert ways?  Do you find yourself injecting “wisdom” so as to avoid mistakes by your team?   Do you have a culture of “tried it; it didn’t work.”  

Creating a culture of continuous improvement requires significant open-mindedness and objectivity.   Most of the individuals on your team are likely high on the “steadiness” scale (see “Right Person; Right Job) which means that they’re less likely enjoy a fast-paced, highly changing organization.   For these individuals, if you’re not careful, they can see the desire for change to be a criticism of their work.  Organizationally, you must separate the two.  Asking your team to look at everything they do with an ongoing eye for improvement is distinctly different then criticizing what’s been done to date.  The analogy that I extend is that your team is that of a child just learning to walk.  You can see it in your mind’s eye.  The little rug rat crawls over to the edge of the chair; reaches up with their tiny arm; grabs the edge of the chair with their iron-like grip; and pulls themselves up on wobbly legs for their first effort at standing.  They stagger for a moment then…plop…they topple over.  And what do we say when we see this happening?  We say “atta girl’, “way to go,” and other forms of endearing and personal encouragement.  We don’t say, “you know, if you’d done it this way, you would have been able to stand.”

Encouraging self-confidence by allowing and celebrating mistakes is a critical component of organizational and personal development.  Without mistakes, the team can’t learn success.  And if you’re there at every turn, attempting to prevent mistakes, you’ll never develop an innovative and learning team.

The 800# Gorilla Strikes Again!

I share this with my readers simply as a reporter.  What follows is apparantly a letter from the American Optometric Society to their members, followed by press release on the same topic.

I make no comment...what follows speaks for itself.

________________________________________

Last October, in order to bring accurate information to our members about VSP’s new relationship with Costco, we sat down with VSP’s Chairman of the Board, Tim Jankowski, O.D., and its President Rob Lynch, for an interview. After the interview VSP tried to tell us what we could and could not do with the interview transcript. We rejected VSP’s demands. VSP threatened to sue the AOS if we did not do what they wanted. Again, we rejected VSP’s efforts to control the AOS. The AOS considers it critical that we are independent and do not allow outside organizations to influence our decisions. It distinguishes us from many other organizations.

With that in mind, the AOS told VSP that we had an obligation to our members and would not be told by VSP what we could and could not do. We published the transcript and allowed our members to read it. VSP responded with more threats from their lawyers. But the AOS again refused to permit VSP to tell us what we may and may not do. So, this past week VSP sued the AOS, two of its Board members (Pam Miller and Rich Driscoll) and its attorney, Craig Steinberg claiming that the VSP interview was recorded without permission, and that the transcript was wrongfully published. The Press Release regarding this sets forth the facts as we believe them to be. Please read it. A copy of the Press Release is included at the bottom of this news bulletin.

This past year VSP has initiated a program allowing some groups to obtain VSP covered eye care through Costco. VSP then began selling frames and glasses on-line, in direct competition with their network providers. Most recently VSP initiated a program where, if you sell enough Altair and Marchon frames you receive preferential listing when a VSP patient searches for VSP providers in their area. If you don’t sell enough VSP frames you are listed after the other doctors in your area. And now VSP has sued the AOS for providing our members with the most accurate information we could obtain about VSP – information provided to us from VSP itself.

If, like many others, you are tiring of VSP being the 1000 lb gorilla and want the AOS to stand up against VSP’s bullying tactics, we ask that you click here now and donate $100 or more to the AOS legal fund. We are confident that the VSP lawsuit has no merit and that this lawsuit is nothing more than VSP’s way to show everyone what will happen if you don’t do what they tell you – classic strong-arm bully tactics.

 We hope you’ll let us know with your donations to the AOS legal fund that you want the AOS to fight VSP and show them that we will not be intimidated

 VSP SUES THE AMERICAN OPTOMETRIC SOCIETY FOR ALLOWING AOS

MEMBERS TO READ TRANSCRIPT OF VSP INTERVIEW

AOS Says Lawsuit is Nothing More than VSP Bully Tactics

LOS ANGELES, CA, February 14, 2011 - Vision Service Plan (VSP) has filed a lawsuit against the American Optometric Society (AOS), several members of its Board of Directors, and its General Counsel, alleging that VSP was illegally and unknowingly taped during an interview on October 8 and that the AOS improperly published the transcript of that interview. The AOS adamantly denies the claims made by VSP and says it will vigorously defend itself against what it views as nothing more than VSP bullying tactics.

Says AOS President, Pamela Miller, OD, JD, of the lawsuit, “VSP's actions are a travesty and an embarrassment to what until recently was a respected pro-optometry organization. Not only was VSP told ahead of time that the meeting would be recorded and transcribed, not only was it openly recorded, and not only was VSP given a month to review and supplement the transcript before it was published, but the very purpose of the interview was so the AOS could disseminate VSP's explanation for its new relationship with Costco. And now VSP is unhappy that we did. The AOS believes the lawsuit is motivated by the AOS' refusal to be controlled by VSP. We have been honest to our word, and we will vigorously defend this baseless and frivolous lawsuit.”

The facts are largely undisputed. On September 5, 2010, Dr. Miller, wrote to VSP Chairman Tim Jankowski, O.D., inviting VSP to be interviewed by the AOS during Vision Expo to allow VSP to explain its newly announced relationship with Costco. In the letter and follow-up email Dr. Miller wrote, “We would record and then publish a transcript of that discussion so that our members have an opportunity to hear answers to their questions, directly from VSP.” In response, Dr. Jankowski replied that he was 99% sure he could do [the interview] on October 8. On September 13 Dr. Jankowski confirmed that he would be there along with VSP President Rob Lynch.

The interview took place in a Las Vegas meeting room, with several AOS Board members and AOS attorney, Craig Steinberg, OD, JD, present. Several other AOS board members participated via Skype. A recorder was placed on the table in front of Dr. Jankowski and Mr. Lynch during the nearly three hour interview. At no time did VSP indicate, or have they since indicated, that any part of the discussion was confidential.

On Saturday, December 17, the AOS provided a copy of the transcript to Dr. Jankowski and Mr. Lynch for their review. In response, VSP President Rob Lynch wrote, “We would ask that this not be posted until both Tim [Jankowski] and I give you written approval and have had a chance to review it. I will not be able to look at this before Monday afternoon.”

On December 19, VSP attorney Eric Johannessen, in an email to AOS attorney Craig Steinberg, wrote that, “Neither Rob [Lynch] nor Tim [Jankowski] understood that their conversation was being audio recorded until the end of the meeting.” Mr. Johannessen stated, however, that “... to be clear, we are not attempting to block the publication and dissemination of complete and accurate information to the AOS members. In fact, it is precisely VSP’s support of such efforts that led us to agree to meet in Las Vegas in the first place.” Mr. Johannessen continued, “We do not intend to rewrite history or inhibit publication. But, Rob [Lynch] and Tim [Jankowski] do intend to continue to withhold their respective personal consents to the audio recording until and unless we are provided a fair and reasonable opportunity to review the completeness and accuracy of the record.” Accordingly, the AOS did not make the transcript available to its members until January 13, 2011. At no time before or since has VSP offered any changes or supplement to the transcript.

Nonetheless, VSP filed a lawsuit claiming that the interview was recorded illegally because VSP did not know it would be recorded, and that VSP is suffering unspecified damages due to the transcript being made available to AOS members. VSP seeks damages, penalties, and an injunction against further publication of the transcript.

According to AOS attorney Craig Steinberg, “There is no merit to this lawsuit. Given the recent actions of VSP, which, among other things, is now selling frames on-line and is punishing VSP network doctors that do not sell a high enough volume of VSP owned frame lines, this latest misguided action by VSP appears to me to be nothing more than part of a larger VSP strategy to try and show it can still control the profession. Because the AOS resisted VSP’s effort to control it, VSP sued. I look forward to the Courts having the opportunity to examine the facts, and I am confident the AOS will be fully exonerated of any wrongdoing.”

Is There a Fox in your Henhouse?

I first predicted this eventuality in June, 2009 (see post of June 19, 2009).  VSP announces below that they are reaching into your patient files and driving your patients to the internet...of course, all in the best interest of the private practice ECP.  When will VSP Providers wake up and smell the coffee?   

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RANCHO CORDOVA, Calif.—Following its announcement on Dec. 20 about establishing an internal task force to examine the opportunities in the online space, VSP Global said it will launch a live beta test of eyeconic.com, www.eyeconic.com, an online optical retail store, on Feb. 18. To be launched with 8,600 small California VSP Vision Care clients, the test will enable 473,000 VSP members to use eyeconic.com to purchase contact lenses, prescription eyewear and sunwear.

The company said, “Eyeconic.com is designed to enable independent eyecare providers to compete with online optical retailers.”

Stated David Plevyak, vice president of business development and leader of VSP’s online initiative, "We've heard and understand the concerns doctors have regarding online sales, especially the fear of reducing patient visits. Recognizing the online optical space is growing rapidly, we’re confident that eyeconic.com is the right online partner for independent providers. We're making them an integral part of the online solution by referring patients to independent eyecare providers, generating revenue for providers and by offering a virtual extension of their dispensary."


After the beta test is complete, which a company spokesperson told VMail would be about four weeks, “Eyeconic.com will consider implementing any enhancements and launching the site nationally later this year” to all 55 million VSP Vision Care members. Both members and consumers will have the ability to order contact lenses and browse, select, virtually try-on, and purchase sunwear and prescription eyewear using the Marchon and Altair portfolio of products. Additional frame brands may be available in the future, although VSP said a timetable for these was not determined.

Plevyak added, “Eyeconic.com will be the only player in the online optical marketplace that will offer the ability to use a VSP Vision Care benefit to purchase a mix of brands and prescription lenses including proprietary coatings and options. We believe there’s a growing market for this type of offering and look forward to providing VSP Vision Care members with a world-class online browsing and buying experience that will connect them back to their local independent eyecare provider. Also, purchases made on eyeconic.com will generate revenue for independent providers.”

VSP said that eyeconic.com will refer consumers shopping online back to providers’ offices. The spokesperson told VMail, “When a patient shops online with a prescription from a VSP doctor or indicates a VSP doctor as their doctor when checking out, eyeconic.com will refer the patient to their VSP doctor on the order confirmation and invoice. Eyeconic.com fills the order and handles all the details. Eyeconic.com ships products directly to customers; on the site, customers who browse can view offices that carry frame brands.” In addition, “If a patient doesn't have a VSP doctor or has a prescription from an out-of-network doctor, eyeconic.com will refer them to a nearby VSP doctor.”

The company announcement also said eyeconic.com is designed “to give providers a new channel for second pair, sunglass and contact lens sales.” Asked to clarify, the spokesperson told VMail, “Providers can use eyeconic.com to reach patients who shop online, where they shop: online. They can include eyeconic.com in second pair/sunwear email promotions and direct patients walking away from their practice without filling their prescription to eyeconic.com, where they can browse and buy optical products and, most importantly, connect back to their prescribing VSP doctor.”

VSP Global cited several issues behind its development of the eyeconic.com test, among these: a change in consumer purchasing behaviors, a growing amount of direct revenue being lost by independent ECPs to online purchases and a growing need for doctors to generate a steady stream of non-office-based revenue.”

VSP network doctors will find additional details at VSPOnline on eyefinity.com.